China Organic Agriculture, Inc (OTC:CNOA) Pushing to End the Steady Decline

In fact, it was just recently that some hope was introduced to the market, as this week the stock tried to regain some of its lost positions. Heavy trading took place, but it managed to push the share price to $0.27 and today the negative trend continues. Several aspects might be pointed out as contributors for this crash from almost $4 a few years ago to the present state.

One of them is the is the often change in the management. This is by no means something that would inspire confidence in investors. The lack of communication between IR and common traders is another problem, which, it seems that the company is trying to solve presently. [BANNER]

Now, perhaps the biggest and most peculiar fact about this company is that the better sales figures look at the financial statements, the worse the stock crash is. And you have to remember – we are talking about sales in the millions here, not some small-figure enterprise posting small numbers just to have anything in the balance sheet at all.

The biggest discussions in the Internet, are actually not about whether the stock price will go up and how long would a run last, but rather about the very nature of the company business and financial figures. Opinions split up on two – many people fear this could be another fraud inspired by great financials. Others, however, believe that China Organic is on the right track and as communication with shareholders improve, positive results are soon to follow.

Now, if the second hypothesis is right, the traders buying now would be quite happy with their investment as time passes. If, however, this is not the case, a harsh lesson is at hand for players on the penny stock market.